Issue link: https://maltatoday.uberflip.com/i/820914
3 maltatoday, MONDAY, 8 MAY 2017 News Attorney General: 'I am not privy to FIAU investigations' AG Peter Grech warns that publishing FIAU reports is a crime punishable by up to five years in jail, clarifies he has no power to request criminal investigations into money laundering TIM DIACONO Attorney General Peter Grech has insisted that he has no role in inves- tigations conducted by the Finan- cial Intelligence Analysis Unit and warned that the disclosure of con- tents of FIAU reports is punishable by up to five years' imprisonment. PN leader Simon Busuttil yester- day demanded that Grech instantly publish all reports drawn up by the FIAU on alleged corruption by top government officials "in the national interest". He argued that Grech, in his capacity as AG and chairperson of the FIAU, had failed to take action on a damning report that found "rea- sonable suspicion" that OPM chief of staff Keith Schembri and Nexia BT managing partner Brian Tonna were involved in money laundering or the proceeds of crime related to kick- backs from sales made under the citi- zenship scheme. However, Grech told MaltaToday that the FIAU's board of governors, of which he is chairperson, plays no role whatsoever in the unit's investi- gations. "The governing board's role is relat- ed to policy decisions and has no role whatsoever in the FIAU's operations which are entrusted solely to the di- rector and his staff," he said. "I have no idea who and what the FIAU is investigating. I would be aware when a report is passed on to the police, but the report itself would not pass through the board." He added that the separation of powers between the FIAU's govern- ance and investigative arms was in- tended to prevent potential conflicts of interests from arising on the part of the governing board members – who besides the AG also include repre- sentatives from the Central Bank, the police force and the Malta Financial Services Authority. Grech refused to confirm whether he had seen the contents of the FIAU's report – into Schembri and Tonna that, according to the Times of Malta, was passed on to the police commis- sioner for further action in May 2016 – arguing that doing so could breach the FIAU's strict confidentiality laws. Indeed, he warned that the disclo- sure of FIAU investigations is punish- able by law with five years' imprison- ment and a fine of up to €116,468. "Confidentiality prohibits me from saying yes or no, and the people who are claiming that I have seen this re- port should substantiate what they're saying," he said. "Ultimately, the FIAU is an intelligence agency, whose role is to gather financial intelligence which it passes on to the police if it has a rea- sonable suspicion of wrongdoing. "The FIAU's role requires its inves- tigations to be kept strictly confiden- tial, as it collects extremely sensitive information, including of third par- ties who are not being investigated themselves." He said he had never personally ap- proached Simon Busuttil to clarify these points to him, arguing that "I don't think it's wise for the AG to en- ter the political fray". 'I have no power to request a criminal investigation' Grech on Saturday was reported saying in the Times of Malta that he does not have the power to commence a prosecution or to conduct investiga- tions, and that such a power is vested solely in the police commissioner. PN candidates and civil society ac- tivists responded by sharing a para- graph from Article 4 from the Money Laundering Act which states: "Where, upon information received, the Attor- ney General has reasonable cause to suspect that a person is guilty of the offence of [money laundering], he may apply to the Criminal Court for an in- vestigation order…" Grech told MaltaToday that "a play on words" is going on and that some people may have got confused by the legal jargon. He said that an "investigation order" does not mean a criminal investiga- tion, but rather an investigative meas- ure similar to a search warrant that, if it yields sufficient evidence, could precede a criminal investigation. Suspects are not even informed when they are under an investigation order. Grech refused to confirm or deny whether he had applied to the Criminal Court for an investigation order in the Schembri-Tonna case, arguing that he is bound by confiden- tiality not to comment in that regard. tdiacono@mediatoday.com.mt … he warned that the disclosure of FIAU investigations is punishable by law with five years' imprisonment and a fine of up to €116,468 The FIAU's role requires its investigations to be kept strictly confidential, as it collects extremely sensitive information, including of third parties who are not being investigated themselves Simon Busuttil has demanded that AG Peter Grech (pictured) publish FIAU reports